Agitating employees of the Himachal Road Transport Corporation (HRTC) will observe a one-day strike today in support of their demand. The employees, who have been observing work to rule for the past one week, decided to go ahead with the strike after talks with the management failed here today.

The employees refused to withdraw the strike call and insisted that their demand to regularize of the contract staff after completion of three years of service, converting the corporation into state roadways to protect the pension benefits and reversal of the policy to privatise passenger transport services should be accepted.

The management had earlier agreed to pay full arrears on account of the pay revision to the Class IV staff and 75 per cent arrears to the other regular staff on the pattern of the government. Besides, retirees will be paid 85 per cent of the arrears and the balance amount in respect of all employees will be deposited in the provident fund account subsequently.